Research indicates that by 2030, India’s real estate and infrastructure investment trusts could more than double in size, driven by increased asset diversification and rising investor demand for regulated, income-generating assets in a broader market landscape.
India’s real estate investment trusts and infrastructure investment trusts may be heading into a much larger market by 2030, with fresh research suggesting the combined opportunity could more than double from today’s level as more assets are brought into the listed universe. According to an Ionic Wealth chartbook, the appeal is being driven by limited penetration across major infrastructure categories and by investor demand for regulated instruments that offer predictable income.
The chartbook estimates that REIT assets under management could rise from about Rs 3.2 lakh crore to Rs 6.8 lakh crore by 2030, while InvIT assets could grow from roughly Rs 5 lakh crore to Rs 13.4 lakh crore. It said office stock penetration remains about 19 per cent, while roads, transmission lines, solar capacity, natural gas pipelines and warehousing remain far less represented in the listed real-asset market.
That view is echoed by other market reports. Moneycontrol reported that Avendus Capital sees as much as Rs 11.6 lakh crore in combined inflows into REITs and InvITs by 2030, supported by greater participation from mutual funds, insurers and pension funds. Livemint, meanwhile, said India’s REIT market capitalisation could rise to $25 billion by 2030 as investable office stock and alternative property assets expand.
InvITs in particular are being framed as a major financing channel for infrastructure expansion. Business Standard reported that Knight Frank India expects the InvIT market to grow 3.5 times to $258 billion by 2030, helped by policy support, a deeper pipeline of brownfield and greenfield projects, and the government’s National Monetisation Pipeline. Industry data cited by Economic Times Realty suggests listed REIT and InvIT portfolios have already crossed 195 million square feet, with more supply coming to market, while ET Money said mutual fund exposure to these products has risen sharply over the past year.
The broader message across the reports is that India’s listed real-asset market is becoming more varied, with office parks, roads, power assets, warehouses, telecom towers, fibre and gas pipelines all competing for investor attention. The key challenge for investors, according to Ionic Wealth, is no longer just deciding whether to buy REITs or InvITs, but choosing the right underlying asset class, since each carries its own mix of income, inflation protection and valuation risk.
Disclaimer: This article is intended to inform and educate, not to recommend or endorse any financial product, investment or strategy. Please consider your own financial circumstances and seek professional advice where appropriate before making financial decisions.
